Nit: this article is really criticizing a UI change which makes local results more prominent (in that they take over the entire page). The local results at the top of the page when you search for "Italian restaurants" are all still organic. In fact, whenever there's a map on the right-and side of the page, it's displacing ads. Now, you can be against Google ever making a UI change, or even against Google showing diff…
You are very much being de-incentivized from investing in a page that is outside of google's universe, because you're only shot there is pure organic, which matters less and less.